ADP vs. STLD

Last updated Jun 9, 2026

ADP (Automatic Data Processing, Inc.) and STLD (Steel Dynamics, Inc.) are both stocks. ADP operates in Staffing & Employment Services (Industrials), while STLD operates in Steel (Basic Materials). Over the past 10 years, ADP returned 12.50%/yr vs 28.87%/yr for STLD. At a 0.29 correlation, their price movements are largely independent.

Performance

ADP vs. STLD - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Automatic Data Processing, Inc. (ADP) and Steel Dynamics, Inc. (STLD). The values are adjusted to include any dividend payments, if applicable.

Returns By Period

In the year-to-date period, ADP achieves a -10.21% return, which is significantly lower than STLD's 58.17% return. Over the past 10 years, ADP has underperformed STLD with an annualized return of 12.50%, while STLD has yielded a comparatively higher 28.87% annualized return.

ADP

• 1D: -1.24%
• 1M: 7.55%
• YTD: -10.21%
• 6M: -10.14%
• 1Y: -28.14%
• 3Y*: 4.26%
• 5Y*: 5.16%
• 10Y*: 12.50%

STLD

• 1D: -0.48%
• 1M: 13.65%
• YTD: 58.17%
• 6M: 61.80%
• 1Y: 102.77%
• 3Y*: 41.16%
• 5Y*: 34.95%
• 10Y*: 28.87%

*Multi-year figures are annualized to reflect compound growth (CAGR)

ADP vs. STLD - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
ADP Automatic Data Processing, Inc.	-10.21%	-10.18%	28.41%	-0.25%	-1.29%	42.60%	5.86%	32.71%	14.25%	16.54%
STLD Steel Dynamics, Inc.	58.17%	50.70%	-1.99%	22.75%	60.14%	71.42%	12.46%	16.78%	-29.02%	23.34%

Correlation

The correlation between ADP and STLD is -0.07, meaning there is essentially no relationship between their price movements. Each responds to its own set of market drivers, making them strong candidates for combining in a diversified portfolio.

	Correlation
Correlation (1Y) Calculated over the trailing 1-year period	-0.07
Correlation (3Y) Calculated over the trailing 3-year period	0.12
Correlation (5Y) Calculated over the trailing 5-year period	0.25
Correlation (10Y) Calculated over the trailing 10-year period	0.29
Correlation (All Time) Calculated using the full available price history since Nov 25, 1996	0.29

The correlation between ADP and STLD shifts across timeframes, from -0.07 (1 year) to 0.29 (10 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap ADP : $92.16B STLD : $38.69B
EPS ADP : $10.72 STLD : $9.33
PE Ratio ADP : 21.37 STLD : 28.63
PS Ratio ADP : 4.30 STLD : 2.07
PB Ratio ADP : 14.51 STLD : 4.22
Total Revenue (TTM) ADP : $21.60B STLD : $19.01B
Gross Profit (TTM) ADP : $10.26B STLD : $2.66B
EBITDA (TTM) ADP : $6.51B STLD : $2.23B

Return for Risk

ADP vs. STLD — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

ADP

ADP Risk / Return Rank: 8
ADP Sharpe Ratio Rank: 2
ADP Sortino Ratio Rank: 4
ADP Omega Ratio Rank: 6
ADP Calmar Ratio Rank: 15
ADP Martin Ratio Rank: 11

STLD

STLD Risk / Return Rank: 94
STLD Sharpe Ratio Rank: 96
STLD Sortino Ratio Rank: 94
STLD Omega Ratio Rank: 92
STLD Calmar Ratio Rank: 92
STLD Martin Ratio Rank: 94

The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

ADP vs. STLD - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Automatic Data Processing, Inc. (ADP) and Steel Dynamics, Inc. (STLD). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

	ADP	STLD	Difference
Sharpe ratio: Return per unit of total volatility	-1.16	3.11	-4.27
Sortino ratio: Return per unit of downside risk	-1.68	3.78	-5.46
Omega ratio: Gain probability vs. loss probability	0.80	1.45	-0.65
Calmar ratio: Return relative to maximum drawdown	-0.72	5.08	-5.80
Martin ratio: Return relative to average drawdown	-1.33	17.05	-18.38
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

ADP vs. STLD - Sharpe Ratio Comparison

The current ADP Sharpe Ratio is -1.16, which is lower than the STLD Sharpe Ratio of 3.11. The chart below compares the historical Sharpe Ratios of ADP and STLD, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.

Sharpe Ratios by Period

	ADP	STLD	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-1.16	3.11	-4.27
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.24	0.92	-0.69
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.51	0.74	-0.22
Sharpe Ratio (All Time) Calculated using the full available price history	0.54	0.35	+0.19

Drawdowns

ADP vs. STLD - Drawdown Comparison

The maximum ADP drawdown since its inception was -59.51%, smaller than the maximum STLD drawdown of -87.05%. Use the drawdown chart below to compare losses from any high point for ADP and STLD.

Drawdown Indicators

	ADP	STLD	Difference
Max Drawdown Largest peak-to-trough decline	-59.51%	-87.05%	+27.54%
Max Drawdown (1Y) Largest decline over 1 year	-39.25%	-20.33%	-18.92%
Max Drawdown (3Y) Largest decline over 3 years	-40.78%	-28.66%	-12.12%
Max Drawdown (5Y) Largest decline over 5 years	-40.78%	-32.20%	-8.58%
Max Drawdown (10Y) Largest decline over 10 years	-40.78%	-68.46%	+27.68%
Current Drawdown Current decline from peak	-28.14%	-3.49%	-24.65%
Average Drawdown Average peak-to-trough decline	-12.59%	-33.29%	+20.70%
Ulcer Index Depth and duration of drawdowns from previous peaks	22.88%	6.05%	+16.83%

Volatility

ADP vs. STLD - Volatility Comparison

Automatic Data Processing, Inc. (ADP) and Steel Dynamics, Inc. (STLD) have volatilities of 9.30% and 9.30%, respectively, indicating that both stocks experience similar levels of price fluctuations. This suggests that the risk associated with both stocks, as measured by volatility, is nearly the same. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	ADP	STLD	Difference
Volatility (1M) Calculated over the trailing 1-month period	9.30%	9.30%	0.00%
Volatility (6M) Calculated over the trailing 6-month period	20.42%	24.94%	-4.52%
Volatility (1Y) Calculated over the trailing 1-year period	24.35%	33.34%	-8.99%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	22.05%	38.03%	-15.98%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	24.48%	39.31%	-14.83%

Dividends

ADP vs. STLD - Dividend Comparison

ADP's dividend yield for the trailing twelve months is around 2.83%, more than STLD's 0.76% yield.

Position	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
ADP Automatic Data Processing, Inc.	2.83%	2.46%	1.96%	2.21%	1.83%	1.55%	2.08%	1.92%	2.14%	2.00%	2.10%	2.36%
STLD Steel Dynamics, Inc.	0.76%	1.18%	1.61%	1.44%	1.39%	1.68%	2.71%	2.82%	2.50%	1.44%	1.57%	3.08%

Financials

ADP vs. STLD - Profitability Comparison

The chart below illustrates the profitability comparison between Automatic Data Processing, Inc. and Steel Dynamics, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

ADP - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported a gross profit of 2.87B and revenue of 5.94B. Therefore, the gross margin over that period was 48.3%.

STLD - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Steel Dynamics, Inc. reported a gross profit of 763.22M and revenue of 5.20B. Therefore, the gross margin over that period was 14.7%.

ADP - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported an operating income of 1.79B and revenue of 5.94B, resulting in an operating margin of 30.1%.

STLD - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Steel Dynamics, Inc. reported an operating income of 538.00M and revenue of 5.20B, resulting in an operating margin of 10.3%.

ADP - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Automatic Data Processing, Inc. reported a net income of 1.36B and revenue of 5.94B, resulting in a net margin of 22.9%.

STLD - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Steel Dynamics, Inc. reported a net income of 403.44M and revenue of 5.20B, resulting in a net margin of 7.8%.

Frequently Asked Questions

Can I hold both ADP and STLD in my portfolio?

ADP and STLD have a correlation of -0.07, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

Which is riskier, ADP or STLD?

STLD has higher volatility (9.30%) compared to ADP (9.30%). In terms of maximum drawdown, ADP dropped -59.51% vs STLD's -87.05%.

Which has better risk-adjusted returns?

STLD currently has the higher Sharpe Ratio (3.11 vs -1.16), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.